Phoenix Technologies Integrates Corel(R) LinDVD(R) to Offer DVD Player in Phoenix's Instant-On Hyperspace(TM) PC Environment

MILPITAS, Calif., Oct. 29 /PRNewswire-FirstCall/ -- Phoenix Technologies Ltd. (NASDAQ: PTEC) , the global leader in core systems firmware, today announced it will offer Corel(R) (NASDAQ: CREL) LinDVD(R) Linux-based playback software to develop a break-through DVD player for mobile PCs, capable of running independently from Windows Vista(TM) even when Windows is operating. The solution will be built on the Phoenix HyperSpace(TM) platform, a secure, virtual environment that can host instant-on PC applications that are always available before, during and after Windows boots up and shuts down.

(Logo: http://www.newscom.com/cgi-bin/prnh/20070410/SFTU048LOGO)

As a result of this collaboration, Corel LinDVD playback software will be available within seconds of turning on a HyperSpace-enabled PC and run alongside Windows after boot up. Users will gain the productivity of one-key toggle between the DVD application and Windows, while minimizing power requirements by keeping Windows on suspend (sleep) mode when viewing a video. PC battery life is dramatically increased, allowing people to operate their PC and view content for a longer period of time when needed, e.g., during long flights.

"Phoenix HyperSpace is redefining the concept of mobility and easy-to-use computers with PC 3.0(TM)," said Surendra Arora, vice president of business development at Phoenix Technologies. "Our collaboration with Corel will allow users to view multimedia content in HyperSpace within seconds of turning on their laptop. Since the player will work within HyperSpace, they will also be able to run Windows at the same time and easily toggle back and forth between their HyperSpace player and Windows applications."

Phoenix HyperSpace is a unique computing environment with instant-on applications that bring new levels of convenience, uptime and security to users. Next-generation PC users will realize the benefits of an instant-on, always-available and battery-saving PC that provides greater user satisfaction and productivity than what is available now. Users will have almost immediate access to a host of instant-on applications and content including multimedia players, e-mail, instant messaging, Web browsing, safe shopping and more.

"Mobile users want instant-on PC experiences that are more convenient, reliable, secure, fun and always available, while still preserving the full power and functionality of a PC. HyperSpace, in combination with applications from companies like Corel, provides them the best of both worlds," said Creative Strategies' Tim Bajarin, leading industry analyst and mobile PC futurist.

"Corel digital media innovation is producing ground-breaking new products that enhance the way people live, work and play," said Denise MacDonell, senior director product management, Digital Media, at Corel. "By working with Phoenix, we are helping redefine how people use their mobile computers, allowing them to watch a video as quickly and easily on their laptop as they can using a player at home -- just turn it on and it works. Even better, we are enabling reduced battery consumption on laptops when users view videos via our LinDVD playback software running on HyperSpace, providing extended mobile PC playback without the need to plug in and charge batteries."

About Corel

Corel is one of the world's top software companies with more than 100 million active users in over 75 countries. We develop software that helps people express their ideas and share their stories in more exciting, creative and persuasive ways. Through the years we've built a reputation for delivering innovative, trusted products that are easy to learn and use, helping people achieve new levels of productivity. The industry has responded with hundreds of awards for software innovation, design and value.

Our award-winning product portfolio includes some of the world's most widely recognized and popular software brands, including CorelDRAW(R) Graphics Suite, Corel(R) Painter(TM), Corel DESIGNER(R) Technical Suite, Corel(R) Paint Shop Pro(R) Photo, VideoStudio(R), WinDVD(R), Corel(R) WordPerfect(R) Office and WinZip(R). Our global headquarters are in Ottawa, Canada, with major offices in the United States, United Kingdom, Germany, China, Taiwan and Japan.

About Phoenix Technologies Ltd.

Phoenix Technologies Ltd. (NASDAQ: PTEC) is the global market leader in system firmware that provides the most secure foundation for today's computing environments. The PC industry's top system builders and specifiers trust Phoenix to pioneer open standards and deliver innovative solutions that will help them differentiate their systems, reduce time-to-market and increase their revenues. The Company's flagship products and services -- AwardCore, SecureCore, Embedded BIOS, FailSafe, HyperSpace, BeInSync and eSupport -- are revolutionizing the PC user experience by delivering unprecedented performance, security, reliability, continuity, and ease-of-use. The Company established industry leadership and created the PC clone industry with its original BIOS product in 1983. Phoenix has 159 technology patents and 136 pending applications, and has shipped in over one billion systems. Phoenix is headquartered in Milpitas, California with offices worldwide. For more information, visit http://www.phoenix.com.

Phoenix, Phoenix Technologies, AwardCore, Phoenix SecureCore, Embedded BIOS, Phoenix FailSafe, HyperSpace, BeInSync, eSupport and the Phoenix Technologies logo are trademarks and/or registered trademarks of Phoenix Technologies Ltd.

Safe Harbor

The statements in this release include forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding, but not limited to, the partnership between Phoenix and Corel, the benefits of bundling Corel's product with HyperSpace and the functionality of HyperSpace. These statements involve risk and uncertainties, including: unexpected technical challenges and delays relating to integrating the Corel product with HyperSpace, including code bugs and glitches; unexpected challenges relating to the relationship between Phoenix and Corel; our ability to successfully compete in new markets where we do not have significant prior experience; competing technology and offerings of competitors, including time to market and price competition; end-user demand for our products and solutions; our ability to hire and retain key employees; and our ability to protect our intellectual property rights. For a further list and description of risks and uncertainties that could cause actual results to differ materially from those contained in the forward looking statements in this release, we refer you to the Company's filings with the Securities and Exchange Commission, including, but not limited to, its annual report on Form 10-K and quarterly reports on Form 10-Q. All forward-looking statements included in this release are based upon assumptions, forecasts and information available to the Company as of the date hereof, and the Company assumes no obligation to update any such forward- looking statements.

     Contact:

     Phoenix Technologies Ltd.
     Global Press Office
     Tel : +1 408 570 1060
     E-mail: public_relations@phoenix.com